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Tax Question

Ive been worrying about how my checking account will affect my families tax return next year...we dont make much money & I havent worked since May '07 but I have $20,000 in my checking account that is meant for college, since its in a checking account I havent made any money off of it except like $6 in interest...so Im wondering if I will have to pay taxes on money that I havent gained any interest on - The money came from a 509 savings plan account that was in my ex-husbands name that we withdrew last year and put into my checking account, so taxes were already paid on it last year when we filed our taxes

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Anonymous

Asked by Anonymous at 10:54 PM on Oct. 12, 2008 in Money & Work

Answers (3)
  • I used to work for a bank. If you collect $10 or more in interest that year, they will send you a form you have to claim. But the interest is your income, it doesn't go on the $ in the account, just what you got. so if you got $12 the whole year in interest, that's what the government would see as your income, not enough to worry about!
    flutterfae

    Answer by flutterfae at 10:56 PM on Oct. 12, 2008

  • So when I file my taxes dont I have to have like my bank statement for the year? So wont they see that I have like $20k in my account that was just deposited one day and wonder where it came from??
    Anonymous

    Answer by Anonymous at 11:02 PM on Oct. 12, 2008

  • It has already been taxed. You don't have to submit bank statements with your taxes. You are fine. Nothing to pay on, nothing wo worry about.
    Anonymous

    Answer by Anonymous at 7:10 AM on Oct. 13, 2008

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